PeopleSoft posts positive results

IT company in profits shock...

By Graham Hayday, 25 January 2002 07:35

NEWS PeopleSoft has given a boost to all the optimists who think the worst of the high-tech slump is over by posting strong Q4 results. For the period ending 31 December, net earnings rose 30 per cent from $44m to $57m. Revenues were up just over six per cent from $497m to $528m, beating analyst expectations. However, its services business didn't perform so well in the quarter, with revenues falling 22 per cent to $19m. For the year as a whole, software licence revenues increased 30 per cent to $645m, while group revenue leapt 20 per cent to $2.07bn. In a statement, Craig Conway, president and CEO of the company, said: "The year 2001 was an exceptional year of financial performance for PeopleSoft, including record total revenue, record income from recurring operations, more than $500 million of cash and investments generated... At the same time, we introduced many successful new product lines, including PeopleSoft 8 CRM and PeopleSoft Enterprise Service Automation." Yesterday, Autonomy chief Mike Lynch predicted that the IT industry was on the brink of recovery.

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